Part of the mission of the GLCCA is to provide “a platform for its members to unite and better the collection industry.” With this in mind, we are calling on all GLCCA members in Wisconsin to let your voice be heard regarding two bills the Wisconsin State Assembly is considering. Both of these pieces of legislation could intensify the advantage the State Collection Program has over private agencies. The two bills in question are AB735 and AB746.
If passed, proposed Bill 735 would allow the Wisconsin State Debt Collection Program to recover all fees and disbursements related to garnishment actions from a debtor. To put this in perspective, the DOR estimates that costs from court fees and mailings exceed $114 for each garnishment. If Bill 735 passes, these fees would be forwarded to the debtor as additional expenses (this is in addition to the $35 or 15 percent that the DOR is already charging debtors for certified collection). While the bill would give relief to the State Debt Collection Program, private debt collectors, such as our Wisconsin GLCCA members, are still not allowed to charge fees for collection of debts or pass along the cost of garnishment to debtors.
Bill 476 creates a system of earnings determinations, calculations, exemptions and re-calculations when dealing with a debtor who has multiple garnishments. The proposed process is both confusing and detrimental to employers, creditors, collectors and debtors.
One of the best ways to combat legislation that could pose a threat to our industry is to let your voice be heard. With that in mind, we are requesting that all Wisconsin GLCCA members take a minute to send a letter to their State Representative, the Speaker of the Assembly, the Majority Leader and the Ways and Means Committee.
The process literally takes minutes, but it could have a huge impact on the outcome of both of these bills. To get involved, CLICK THIS LINK and fill in all the required fields. Once you are finished, click on “preview.” This will allow you target the appropriate legislators. Then simply click “send.”
Having your voice heard on this and other important issues is imperative for everyone in the debt collection industry. If you have any questions regarding the proposed legislation, click on the hyperlinked bill numbers above, or contact us here at the GLCCA.